Banking News

The prospect of record low savings rates continuing is forcing many savers to review how they allocate their capital in an attempt to achieve the level of returns they have previously enjoyed. Investing in the stock market inevitably involves putting your capital at risk however there is a middle ground which continues to attract increasing interest – the structured deposit. With this in mind, we take a deeper look at this savings alternative to help understand why more and more savers are starting to see their appeal. more

With the current economic environment asking savers far more questions than it gives answers, it is good to know that there are alternatives available. We take a look at one such alternative that is proving particularly popular as savers face the harsh reality that the more traditional fixed rate savings products are failing to meet their needs. more

Millions of savers are facing the harsh realisty that there is little hope of change to interest and savings rates in the coming years. However, those with Cash ISAs do have one further option to consider – the ISA transfer. We take a closer look at why this is becoming a rising trend as well as what this could mean for those looking for the potential to improve the returns from their capital. more

With so many savers joining income investors in the hunt for high yields, being able to quickly understand and compare the numerous options available has become even more important. We therefore compare two of our most popular income investments to help understand what is driving their popularity and why they might meet your income needs. more

Legal & General: Brits in a penny-pinching humour

13 February 2007

The start of the new year put UK consumers in a saving frame of mind, a Legal & General survey has shown, with 65 per cent of Britons keen to save – 14 per cent more than in December.

However, the number of people hoping to save in January 2007 is still only the same as in January 2006 – a year when good intentions could not stop UK debt and personal insolvencies rising to record levels.

Spending, too, is now more unpopular than ever before, with only 22 per cent of adults looking to blow their earnings in the shops.

"A fall in household disposable money is the most likely factor in pushing down the mood to spend," she observed, pointing to evidence that fewer and fewer households have any money left over to spend "after paying bills and debt payments".

The base rate rise in January made savings more profitable but also increased the expense of debt repayments and bills – which could explain the dual trends in the survey's findings.